The Lanao del Sur Electric Cooperative (Lasureco) has obtained a temporary restraining order (TRO) preventing the Power Sector Assets and Liabilities Management Corp. (PSALM) from implementing an order that would have cut its power last Wednesday, June 8.
The TRO was issued by the Regional Trial Court of Lanao Del Sur the previous day, June 7.
PSALM said Lasureco has not expressed intention to settle its outstanding accounts amounting to P12.9 billion.
Earlier this week, the Department of Finance, instructed PSALM to strictly enforce its credit and collection policy against Maguindanao Electric Cooperative and Lasureco for their failure to settle outstanding accounts of more than P16 billion combined and to pay their current power bills on time.
PSALM said it is not within its legal mandate to give out free electricity to Lasureco and neither does it receive any kind of budgetary allocation from the national government to subsidize the grant of free electricity to ailing ECs.
PSALM said Lasureco draws power from the state-run firm because its power lines became directly connected to Agus 1 hydroelectric power plant.
“The continuous supply of electricity to Lasureco without any indication on who will pay PSALM for such electricity is detrimental and extremely unfair to PSALM, to the government, and to all other electricity consumers who are dutifully paying for their electricity,” the firm explained.
PSALM said it consistently communicated its concerns to Lasureco and has repeatedly demanded payment in numerous letters but the EC failed to pay and submit any documentary requirements.
The power disconnection would have affected about 50,000 households. – Jed Macapagal
